Drugmaker Wockhardt expects to ink another partnership for vaccines in the UK soon, according to top management. This would be its second in the UK, after its deal with Serum Institute of India, formalised close to a year ago, for multiple vaccines, including for Covid-19.
“We are in discussion with a large company to make their vaccines in our facilities. The UK is going to become an important source of revenue and profits,” said Dr Habil Khorakiwala, Wockhardt Founder-Chairman, pointing out that the year ahead was filled with opportunities in biologics and vaccines, besides its novel products pipeline. “We are at an important point in the life of the company, we are at a turning point stage, we went through challenging times in the past,” he told investors in an interaction that comes after many years.
Wockhardt is said to be in talks with a multinational company, an industry representative said, but the contours of the partnership and its timeline have not been divulged.
On the Serum Institute partnership, Managing Director, Dr Murtaza Khorakiwala, said a 51:49 joint venture was in place, in favour of Wockhardt. The company has received 10 million pounds for reserving capacity to supply 150 million doses of vaccines over 15 years. Serum Institute has identified two vaccines that Wockhardt would manufacture post regulatory approvals, and exhibit batches in about eight to 12 months, he said.
Funding research
Meanwhile, Wockhardt has been streamlining its manufacturing in the US, opting for contract manufacture in the US and Canada, with some of its own plants facing regulatory issues.
According to Dr Habil Khorakiwala, the company would need an additional $30 million to fund clinical trials, including of its prospective novel antibiotic WCK5222, and the company would look to raise funds through debt and by monetising assets that were not in use. This could mean that some manufacturing facilities and land could be on the block, an industry representative told businessline.
Wockhardt recently indicated that it was restructuring its US business by closing its manufacturing facility in Illinois, and undertaking business in the region through contract manufacture by USFDA-approved manufacturing partners. He said key products that had contributed to revenues and profits would be supported by their sales team.
On WCK5222, he said, the advanced Phase III clinical trials process had been initiated in Europe and would commence in India, China and the US. The product has been designated a QIPD (Qualified Infectious Disease Product) by the US Food and Drug Administration, which meant recognition of its role in addressing an unmet medical need. With other novel products also in the pipeline, the company has earmarked about 8 per cent of its revenue for research, said Dr Habil, adding that the mix now was more towards biologics, than pharmaceuticals. The company’s long-term external debt has reduced from Rs 3,218 crore to Rs 608 crore (December 2022) in five years, the management said.